Summary
American Tower Corporation (AMT) announced on September 28, 2016, the pricing of a significant public offering of senior unsecured notes. This offering includes $600.0 million in notes due in 2022, carrying a 2.250% annual interest rate, and $400.0 million in notes due in 2027, with a 3.125% annual interest rate. The notes were issued at a slight discount to their face value, indicating favorable market conditions for the company. This debt issuance allows American Tower to raise substantial capital, totaling $1.0 billion, likely for general corporate purposes, potential acquisitions, or refinancing existing debt. The announcement provides investors with clarity on the company's financing activities and its strategy to fund growth and operations, while the specific interest rates offer insight into the cost of this capital.
Key Highlights
- 1AMT priced a public offering of senior unsecured notes totaling $1.0 billion.
- 2The offering includes $600.0 million of notes due in 2022 with a 2.250% interest rate.
- 3The offering also includes $400.0 million of notes due in 2027 with a 3.125% interest rate.
- 4The 2022 notes were priced at 99.858% of their face value.
- 5The 2027 notes were priced at 99.933% of their face value.
- 6The notes are senior unsecured obligations of the company.
- 7The press release announcing the pricing is filed as an exhibit to the 8-K.